Malaysia's Maybank opens Beijing branch

KUALA LUMPUR -- Malaysia's largest lender, Malayan Banking Berhad or Maybank officially launched its Beijing branch on Monday to strengthen its regional presence amid growing trade between Southeast Asia and the Chinese mainland.

The Beijing branch, which opened for business in July, was the third for the banking group in China after Hong Kong and Shanghai.

"It has always been our aim to expand our network in China and the granting of a license for a branch in Beijing by the China Banking Regulatory Commission in May this year marked a milestone for Maybank," Maybank group president and CEO, Abdul Wahid Omar said in a statement.

The bank's operations in China, which began 50 years ago with Hong Kong, are now the third largest overseas contributor to the group's pre-tax profit after Singapore and Indonesia.

More than a quarter of Maybank's pre-tax income came from its operations abroad in the first six months of the year.

Abdul Wahid has said the bank plans to generate 40 percent of operating profit from overseas by 2015.

Maybank Beijing has a paid up capital of 200 million Chinese yuan ($32 million) and provides wholesale banking services denominated in foreign currencies primarily in US dollars.

It targets Malaysian and Southeast Asian clients with investments in China and profitable Chinese state enterprises with approvals to borrow in foreign currency.

Maybank Shanghai was granted in June this year license to be the first institution outside of Malaysia to open offshore Malaysian ringgit accounts for corporate clients by the Malaysian central bank.

Maybank, which controls PT Bank Internasional Indonesia, owns stakes in several banks in Vietnam and Pakistan and acquired Singapore brokerage Kim Eng Holdings Ltd, had said it is assessing options to expand in Thailand through acquisitions.